Carrico

Appellant general contractors predicate this appeal on the lack of substantial evidence in the record to support three portions of the findings and judgment in favor of respondent city and county of San Francisco: (1) appellants improperly constructed certain roofs to respondent’s damage in the sum of $17,923.64; (2) respondent properly delayed acceptance of, and final payment for, the buildings because of appellants’ contractual failures; and (3) con *99 tract modification number 23, providing for installation of the skylights, entitled appellants only to payment for labor and materials, excluding both shop overhead incurred by the subcontractor and also overhead and profit of the general contractors. As we shall explain, we have found the judgment properly supported by the evidence in all respects except that the general contractors should recover the entire amount billed them by the subcontractor, inclusive of the subcontractor’s shop overhead.

The instant dispute is the deformed issue of a contract for the construction of four identical recreation centers in San Francisco: Potrero Hill, Ocean View, St. Mary’s and Sunset. On October 24, 1949, appellants contracted to construct…